Latin America Business News

Foreign Investment in Latin America Grows to Record Level of $173.36 Billion

2013-05-14T20:12:24+00:00

Latin America and the Caribbean received in 2012 a record $173.36 billion in foreign direct investment, or FDI, up 6.7 percent from the year before, the U.N. Economic Commission for Latin America and the Caribbean said Tuesday. The increase came despite a marked reduction of FDI at the global level, ECLAC said in its regional investment report for 2012 in Santiago. The figures are the result of sustained economic growth in the region, the high prices of raw materials and the high return on investments associated with the exploitation of natural resources, the document said. ECLAC estimates that this year’s FDI in the region will end up somewhere between a 3-percent decrease and a 7-percent increase. ECLAC warns that it does not see any clear indications of FDI making a significant contribution to establishing new sectors or creating technologically intense enterprises. According to the report, FDI is increasingly aimed at exploiting natural resources, particularly in South America. The importance of manufacturing is limited except in Brazil and Mexico. Brazil continues to be a leading recipient of FDI despite a slight drop of 2 percent in 2012, when it received $65.27 billion, 41 percent of the regional total. The United States and countries of the European Union continue to be the chief investors in Latin America and the Caribbean.

Mexico Gets Credit Upgrade by Fitch

2013-05-10T21:17:21+00:00

This week the credit rating firm, Fitch upgraded Mexico’s credit rating from BBB to BBB+. The one notch increase in the country’s sovereign credit rating was given in great part for Mexico’s new President Enrqiue Peña Nieto’s bank reform efforts. The international credit rating agency also cited the country’s strong economic outlook and commitment to transparency in their financial systems. Peña Nieto recently announced banking reform laws that would increase transparency, increase number of loans made and reduce interest rates for those seeking bank loans. In addition the peso is at its strongest levels since August 2011, according to Bloomberg. The BBB rating gets Mexico out of low investment grade level credit allowing it to borrow at more competitive rates. Mexico has the second largest Latin American economy after Brazil. This past March S&P also upgraded Mexico’s credit rating from stable to positive at a Baa1. Both credit rating agency’s now view Mexico economic picture as stable.

Chilean Mining Giant Codelco to Invest $27B Over Six Years

2013-05-10T13:13:56+00:00

Chilean state-owned mining giant Codelco on Wednesday announced plans to invest nearly $27 billion over the next six years. CEO Thomas Keller said the investment program, “the largest in (Codelco’s) history,” will enable the company to remain the world’s largest copper producer while implementing new environmental and social policies. “We have a unique opportunity to incorporate world-class sustainability,” Keller said. The state-owned company plans to invest more than $2 billion on measures to avoid or mitigate mining’s impact on communities and the environment, he said. Codelco also plans to allocate an additional $1 billion to upgrade its smelters and ensure they meet stricter greenhouse gas-emission standards. In the company’s Ministro Hales division, located in the northern region of Antofagasta, an arsenic-removing roasting furnace to be built will ensure that toxic element is eliminated during the initial stage of the metal-extraction process. Keller also defended a major project to expand Codelco’s Andina division, located near Santiago. Known as Andina 244, the project has come under fire from environmental groups over the impact it would have on 26 glaciers that supply fresh water to the capital region. The executive said the expansion effort would not affect any “white” glaciers and that all efforts will be made to “minimize” the impact on six rock glaciers. Codelco posted pre-tax profit of $7.5 billion in 2012, up 6.8 percent from the previous year.

Brazil Will Finance Upgrade of Cuban Airports

2013-05-08T13:13:13+00:00

Brazil will finance a project to expand and modernize Cuba’s airports, state media on the Communist-ruled island said Tuesday. Brazil’s development, industry and foreign trade minister, Fernando Pimentel, and Cuba’s head of foreign trade and foreign investment, Rodrigo Malmierca, signed a memorandum of understanding regarding the project. They also reviewed “the positive progress of bilateral economic relations,” in particular the progress of work at the port of Mariel, near Havana, the Prensa Latina news agency said. Brazil is one of the driving forces behind the project to expand the port of Mariel and is contributing $682 million to do so. The aim of the project, which is considered emblematic of the two nations’ bilateral cooperation and will be carried out by Brazilian firms, is to substantially modernize the port for Cuba and convert it into a zone where Brazilian firms can establish themselves. On Monday, Cuban President Raul Castro met with Pimentel and they discussed and agreed to continue strengthening bilateral relations. Pimentel’s visit to Cuba coincided on Monday with that made by Cuban Foreign Minister Bruno Rodriguez to Brasilia, where he was received by President Dilma Rousseff. According to the Brazilian Foreign Ministry, trade between Brazil and Cuba increased sevenfold over the past 10 years to a record $661.6 million in 2012. Brazilian exports to the island grew by 36.8 percent between 2010 and 2012.

Small Business Loan Interest Rates Cut in Brazil

2013-05-07T14:09:55+00:00

Brazilian President Dilma Rousseff announced here Monday a reduction in the interest rate on public loans for owners of small businesses from 8.0 percent to 5.0 percent. “The question of small businesses is indispensable for the country’s future and present,” said Rousseff during the ceremony installing the new board of directors of the Sao Paulo state Federation of Trade Associations. The change in the government lending program is scheduled to take effect in late May. Rousseff emphasized “the short amount of time” it required to mobilize the several sectors that achieved the reduction. “The government has an unquestionable commitment to small businesses,” the president emphasized in commenting upon the 3 million businessmen registered in the Individual Microentrepreneur program.

Anheuser-Busch InBev Present Offer for 50% Stake in Mexico’s Grupo Modelo

2013-05-04T13:13:17+00:00

Anheuser-Busch InBev has launched a tender offer for the 50 percent stake it does not already own in Mexican brewer Grupo Modelo. In a filing with the Mexican stock exchange, Grupo Modelo said a wholly owned subsidiary of AB InBev offered to pay $20.1 billion, or $9.15 per share. The previously announced tender offer will expire on May 31 unless it is extended and “is not subject to any minimum tender condition or any financing condition,” the filing said. Grupo Modelo added that the Belgium-Brazilian multinational will establish a trust that will accept further tenders of shares by Modelo shareholders for up to 25 months after the tender offer expires. In March, a U.S. court gave the green light to a proposal to resolve the Justice Department’s concerns about the proposed merger. AB InBev reached agreement with Grupo Modelo on the acquisition in June 2012. Founded in 1925, Grupo Modelo is Mexico’s leading beer producer and exporter. The company operates seven breweries in Mexico with the capacity to produce 71.5 million hectoliters (1.8 billion gallons) annually. Grupo Modelo owns 14 brands, including Corona Extra, the beer with the largest market share in the world. The Mexican brewer exports its products to 180 countries and is the exclusive importer of Budweiser and other Anheuser-Busch Inbev brands in Mexico.

March Sees 15% Drop in Remittances to Mexico

2013-05-03T13:13:49+00:00

Remittances sent by Mexicans living abroad fell 14.7 percent to $1.78 billion in March, compared to the same month in 2012, the Bank of Mexico said Thursday. March marked the 9th consecutive month that remittances have fallen, the central bank said. The average remittance totaled $301.27 in March, down from the $335.64 registered in March 2012, the central bank said in its monthly report. A total of 5.9 million transactions, the majority of them electronic funds transfers, were registered last month, the Bank of Mexico said. Remittances totaled $22.44 billion in 2012, down 1.57 percent from 2011. Remittances sent by Mexicans living abroad are the country’s second-largest source of foreign exchange and help cover the living expenses of millions of people.

Brazilian Oil Giant Petrobras Sells Stake in Gulf of Mexico Exploratory Blocks

2013-05-02T13:13:12+00:00

Brazilian state-controlled oil giant Petrobras said it has sold its 20 percent stake in six exploratory blocks in the U.S. Gulf of Mexico. In a regulatory filing, Petrobras said it signed a sale and purchase agreement for the divestment of its stake in the KC 49, 50, 92, 93, 94 and 138 blocks that make up the Gila asset, in which BP Plc is the operator. Petrobras will receive $110 million in the transaction and additional equity in an exploratory block adjacent to the Tiber field, where the Brazilian company is already present and has discovered reserves. “This transaction is part of Petrobras’ divestment program, outlined in the 2013-2017 Business & Management Plan, and is subject to third party preferential rights and approval by the U.S. Bureau of Ocean Energy Management,” Tuesday’s filing said.

World’s Largest Glassmaker, Mexico’s Vitro, Plans $146M Investment

2013-04-30T23:13:45+00:00

Mexico’s Vitro, one of the world’s largest glassmakers, said it planned to invest 1.77 billion pesos ($146 million) in different projects this year. “The authorized amount represents an increase of 65 percent compared to the investment carried out in 2012,” Vitro chairman Adrian Sada Gonzalez said in a filing with securities regulators. The investment will be used to boost capacity at the Envases y Vidrio Automotriz unit, as well as to improve equipment and facilities, in an effort to consolidate the company’s market-leading position, Sada said. Vitro posted outstanding results in 2012, with net consolidated revenues up 10.3 percent to 23.11 billion pesos ($1.9 billion), CEO Adrian Sada Cueva said. Earnings before interest, taxes, depreciation and amortization (EBITDA) rose 6.2 percent to 4.48 billion pesos ($368 million), Sada Cueva said. Vitro will pump 80 percent of its investment into projects in Mexico, focusing on increasing production and modernizing plants, Sada Cueva said. Vitro, which was founded in 1909 in the northern city of Monterrey, is Mexico’s largest producer of glass products for industrial, construction and household use. The company has plants and distribution centers in 10 countries in the Americas and Europe, exporting its products to 50 nations.

Will Next World Trade Organization Head be Latin American?

2013-04-26T16:11:28+00:00

The contest to succeed France’s Pascal Lamy as head of the World Trade Organization has come down to a choice between the candidates from Brazil and Mexico, diplomats said here Thursday. Brazil’s Roberto Azevedo and Herminio Blanco of Mexico emerged as favorites early in the selection process, surviving the first cut along with hopefuls from New Zealand, South Korea and Indonesia. Career diplomat Azevedo has represented Brazil at the WTO since 2008 and is thoroughly acquainted with the workings of the Geneva-based body. Blanco, a former Cabinet secretary who was Mexico’s lead negotiator in the talks that led to the 1994 North American Free Trade Agreement, is currently in the private sector. Azevedo and Blanco are both viewed positively by the developed nations, who continue to play a preponderant role in the WTO, even though the 159-nation group officially operates on the basis of majority rule. Mexican diplomats said their government thinks Blanco is well-placed to prevail over Azevedo. Blanco is expected to receive the backing of the United States, the European Union and the Asia Pacific Economic Cooperation Forum, which includes Mexico as a member, those diplomats said. Latin American governments remain divided in their support, the Mexicans said. A final decision on the next WTO director-general is due by May 31 to allow enough time for an orderly transition prior to Lamy’s departure, set for the end of August.

Federal Court OK’s Offer for Merger Between Grupo Modelo and Anehuser-Busch

2013-04-23T15:16:53+00:00

A U.S. federal judge has approved a settlement proposed by the Department of Justice in the merger between Mexico’s Grupo Modelo and Belgium’s Anheuser-Busch InBev, the companies said. “The Court today signed the previously announced stipulation and order between Anheuser-Busch InBev, Grupo Modelo, S.A.B. de C.V., Constellation Brands, Inc. and the Department of Justice that resolves the Department of Justice’s challenge to AB InBev’s proposed acquisition of the remaining shares of Grupo Modelo that it does not already own,” AB InBev said in a statement released Monday. AB InBev agreed in June 2012 to acquire the 50 percent of Grupo Modelo that it did not already own for $20.1 billion. The Department of Justice challenged the deal in January on the grounds that it would harm competition in the U.S. beer market. Grupo Modelo, founded in 1925 by Spanish businessmen who had settled in Mexico, is the leading brewer in the country. The company operates seven breweries with the capacity to produce 71.5 million hectaliters annually. Grupo Modelo sells beer under 14 different brands, including Corona Extra, which has the biggest market share in the world, exporting its products to 180 countries. The company is the exclusive importer in Mexico of Anheuser-Busch InBev’s brands, such as Budweiser and Budweiser Light.

Pemex Brings Cogeneration Power Plant Online in Mexico

2013-04-20T22:03:37+00:00

Mexican state oil monopoly Petroleos Mexicanos said it has brought a cogeneration power plant online in the southeastern state of Tabasco, a facility it says is the largest of its kind in Latin America. The 300 MW Nuevo Pemex plant was built at an investment cost of 6.5 billion pesos ($530 million) and has the capacity to produce up to 800 tons per hour of steam. It will meet the electricity demands of 190 Pemex work centers and save the company $152 million per year. “In terms of profitability, it represents for Pemex a current net value of $306 million and an internal rate of return of 18 percent,” the company said in a statement. Pemex said 36.5 percent of the plant’s cost was financed by the consortium made up of Spain’s Abengoa and U.S.-based GE Energy Financial Services that was awarded the construction contract. The remaining funding came from a syndicated loan granted to the winning consortium and arranged by Mexican state bank Banobras. Pemex said the plant represents a major step in its plans to achieve self-sufficiency in electricity generation, and improves its electricity- and steam-related operating costs. The plant will replace less efficient equipment and lower maintenance and rehabilitation costs by some $10 million annually while also reducing greenhouse gas emissions by 940,000 tons annually. Cogeneration is a process that simultaneously produces both electricity and heat from one fuel source, such as natural gas, making use of heat that would otherwise be lost.

$341 Million Expansion Planned for Mexico’s Coca-Cola Bottler

2013-04-20T02:13:02+00:00

Mexico’s Arca Continental, the second-largest Coca-Cola bottler in Latin America after Coca-Cola Femsa, announced that it plans to invest 4.2 billion pesos ($341 million) to drive the company’s future growth. Arca Continental said in a statement that its “outstanding results” in 2012 left it in a position to consolidate its businesses in Mexico, Argentina, Ecuador and the United States. “The excellent performance of our operations in 2012 adds to various years of solid results and constant growth, which establish the foundation for new, more significant goals for Arca Continental,” Chairman Manuel Barragan said Thursday after the company’s annual shareholders’ meeting. He also announced that a dividend of 1.50 pesos per share, totaling 2.4 billion pesos ($195 million), had been declared. “Our solid financial situation, as well as our talented and committed human capital put us in the ideal position to continue capitalizing on profitable growth opportunities in both beverages and snacks,” Barragan said. For his part, the company’s CEO, Francisco Garza, said the company posted net sales of 56.3 billion pesos ($4.6 billion) in 2012, a 12.4 percent increase over the previous year. He added that Arca Continental’s consolidated earnings before interest, taxes, depreciation and amortization, or EBITDA, came in at 11.3 billion pesos ($918 million) last year, up 23.6 percent from 2011. Monterrey, Mexico-based Arca Continental produces, distributes and sells non-alcoholic beverages under The Coca-Cola Company brand and serves more than 53 million consumers in northern and western Mexico, as well as in Ecuador and northern Argentina. It also produces and sells snacks under the Bokados brand in Mexico, Wise in the United States and Inalecsa in Ecuador, as well as Topo Chico Mineral Water for the Mexican and export markets.

Anheuser-Busch Agrees to Divest Its Modelo Beer Business in U.S.

2013-04-19T21:11:54+00:00

As part of a settlement agreement with the Department of Justice, Anheuser Busch (ABI) will divest itself of its Modelo beer business in the U.S. The U.S. District Court of Washington, D.C. must still approve the settlement agreement. The settlement agreement was the result of an antitrust lawsuit filed against the proposed $20.1 billion acquisition by ABI of the remaining assets of Mexican beer company Modelo thereby creating one company. The lawsuit alleged the merger would diminish competition in the beer market in the U.S. and lead to higher beer prices. The settlement agreement requires that ABI get rid of all of its Modelo beer licenses that include the following brands: Corona Extra, Corona Light, Modelo Especial, Negra Modelo, Modelo Light, Pacfico and Victoria. ABI will also have to sell its Piedras Negras, Mexico brewery. It is expected that competitor Constellation Brands will buy those assets from ABI. Modelo is the third-largest beer seller in the U.S., with a seven percent nation market share. Modelo’s Corona Extra is the top-selling beer imported in the U.S. ABI had a 35.3 percent stake in Modelo when it proposed buying 100% of the Mexican brewer. Once the courts approve the settlement agreement ABI can proceed with the all-cash offer for the remaining shares of Modelo.

Mexico Wants to “Deepen” Trade Relations with European Union

2013-04-18T14:13:44+00:00

The Mexican government plans to “deepen” its trade relations with the European Union this year via negotiations set to start in a few months, Economy Secretary Ildefonso Guajardo said. “The dialogue should start some time in the summer,” Guajardo told reporters after taking part in the “Mexico: Opportunity and Growth” forum. Mexico is not looking to renegotiate the free trade agreement signed in Lisbon in 2000 but to “expand the treaty” to promote development in a knowledge-based economy, Guajardo said. The trade agreement should incorporate “issues of technological modernization,” such as information technology and e-commerce, that were not discussed when the pact was being drafted, the economy secretary said. Mexico may also introduce an “agricultural chapter” in the talks with the EU, Guajardo said.

Movie Productions Pumps $20 Million into Puerto Rican Economy

2013-04-16T17:40:05+00:00

Currently underway in Puerto Rico are several movie productions that will pump some $20 million into the local economy, the executive director of the state-run Puerto Rico Film Commission, Demetrio Fernandez, said. Notable among the movies being shot is one by a film crew from Korea and another being made by a Frenchman working on a documentary about hurricanes, Fernandez, who has headed the state agency since early this year, said. The Puerto Rico Film Commission attempts to spread the word abroad that the Caribbean island has all the advantages for moviemakers and right now is specifically targeting the European countries of France, Spain and Germany, the official said. The state commission also promotes educational workshops on musical composition for movies, a project that seeks to involve the Puerto Rico Conservatory of Music, Fernandez said. The enactment of Law 27 of Economic Incentives for the Film Industry in March 2011 proved so attractive to producers around the world that since then they have invested close to $80 million in Puerto Rico, government figures show.

Nestle Selling Infant Nutrition Business in Mexico

2013-04-15T23:13:23+00:00

Swiss food giant Nestle will sell the infant nutrition business it acquired as part of the purchase of U.S.-based pharmaceutical giant Pfizer’s global infant nutrition unit, the Federal Competition Commission, or CFC, said Monday. Mexican regulators blocked Nestle’s purchase of the business last November because it would give the Swiss company too large a share of the market for baby formula. Nestle responded by proposing a sale of the business, including the plant where the formula is produced, to a third party within a short period of time. The buyer, who cannot have any relationship with Nestle or Pfizer, will have an exclusive license to produce the Pfizer brands, the CFE said in a statement. The eventual buyer must be approved by regulators “to avoid threats to free competition and market entry” in Mexico, the CFE said.

BajaLibros Launches Spanish-Language eBookstore in U.S.

2013-04-12T16:26:38+00:00

BajaLibros, one of Latin America’s largest and most well known digital bookstores has announced plans to come to the U.S. BajaLibros is headquartered in Argentina and has a 50,000 ebook inventory of free and for-pay publications. The book selections are available through the BajaLibros’ app for Apple and Android, as well as Barnes & Noble’s Nook. BajaLibros also offers its own ereader that retails for $155 in the U.S. BajaLibros’ inventory rivals that of the Nook which is one of the largest in the U.S. for Spanish ebooks. Amazon has around 54,000 titles for sale and the Nook store offers over 58,000 Spanish language titles. The BajaLibros site is easy to navigate with verticals offering free books, Best Sellers, academic publications and books in other Romance languages like Portuguese and Italian. BajaLibros launched in 2010 and rapidly expanded throughout Latin America, Mexico and Spain. The Spanish language digital market is crowded and well represented in the U.S. BajaLibros though a powerhouse in the region, will face strong competition in the U.S. from key players like Amazon and Barnes & Noble.

Woman Dies from Lethal Butt Injections in Costa Rica

2013-04-11T17:21:23+00:00

Costa Rican authorities are reporting the death of a 33-year-old woman from illegal buttocks injections. The unidentified victim received butt shots as a cosmetic procedure that became infected. This case comes on the heals of a Santa Ana, Costa Rican woman claiming her butt was deformed by industrial silicone injects administered at an unlicensed clinic. Latina woman are often the victims of unlicensed, unscrupulous ‘cosmetic’ clinics here and throughout Latin America claiming to have the answer to a small or sagging posterior. The cruelest of these medical frauds use silicone easily found at your local hardware store. In the worse medical cases dubbed ‘silicone embolism syndrome’ the silicone will travel to the patient’s lungs and get stuck in airways. These illicit procedures are on the rise, thanks to a slow economy and patients that can’t afford to be seen by licensed plastic surgeons. Last year Whalesca Castilla was jailed for importing liquid silicone from the Dominican Republic and administering injections to women for butt enhancements. While Mexican singer Alejandra Guzman has struggled with the negative effects of a 2009 butt enhancement procedure.

Spotify Eyes Latin America for Expansion, Service to Launch in Mexico Soon

2013-04-11T13:13:40+00:00

Sweden’s Spotify, a music streaming service that gives users access to millions of songs, is looking at expanding across the Americas, the company’s managing director in Spain, Javier Gayoso, said. Spotify already operates in the United States and will soon launch in Mexico, the executive said. Gayoso, who participated in a conference on digital marketing and e-commerce in the southern Spanish city of Seville, told Efe that the company’s goal was to “grow, grow and grow.” Spotify has more than 24 million users in about 20 countries, with pay service operating in six countries. The company’s goal is to expand its operations around the world, “covering the map in green,” Spotify’s official color, the executive said. Spotify expects to be operating in Mexico before the summer and the company is hiring personnel for the launch, with nearly the entire staff already on the payroll, Gayuso said.

MEXICO: Volaris Begins Using Fuel Efficient Airbus

2013-04-10T23:13:38+00:00

Mexican discount carrier Volaris has started operating the first of 50 Airbus A320s equipped with wing tip fuel saving devices, known as “sharklets,” that will allow it to reduce fuel use by up to 4 percent. Volaris, the first Mexican carrier to have planes outfitted with sharklets in its fleet, marked the delivery of the first A320 with the environmentally friendly devices with a special flight Tuesday from Mexico City to the Caribbean resort city of Cancun. The ambassadors from Germany, Spain, France and Britain, as well as Volaris and Airbus executives, were on the flight. “This device is an option within our options catalog and the technology can yield savings of about $300,000 per plane per year in terms of fuel consumption,” Airbus vice president for Latin American and Caribbean sales Arturo Barreira said. Sharklets can keep about 1,000 tons of CO2 from entering the atmosphere annually, Barreira said.

Goya, Beech-Nut Launch Latin-Flavored Baby Food

2013-04-09T23:13:38+00:00

Beech-Nut Nutrition and Goya Foods, Inc. have forged an unprecedented partnership to launch a new line of authentic Hispanic flavored baby foods made with Hispanic moms in mind. The joint announcement was made today by Beech-Nut President Jeff Boutelle and Bob Unanue , President of Goya Foods. “Our research shows that Hispanic moms have been waiting for just such an offering, which combines the authentic, traditional Latin flavors Goya is famous for with Beech-Nut’s nutritious, natural ingredients free of preservatives,” said Mr. Boutelle. “Our products are as close as possible to home-made, and that’s very important to Hispanic families.” “The Beech-Nut/Goya line of baby food offers mom the best of both worlds,” Mr. Unanue said. “Hispanic moms, influenced by their abuelitas, oftentimes believe that healthy, traditional baby food can only be made at home using fresh ingredients. Their challenge is that they simply don’t have the time to cook from scratch the way their grandmothers did, and that’s where Beech-Nut/Goya comes in: Our new line of baby food is the perfect union that bridges Hispanic mothers’ desire for healthy, traditional baby food with their need for convenience and nutrition in today’s hectic world.” Mr. Unanue added that Goya’s partnership with Beech-Nut forms part of the company’s continued commitment to nutrition and support for the My Plate/ Mi Plato nutritional initiative launched by the White House and the U.S. Department of Agriculture, last year. Why the emphasis on Latin-flavored baby food? Mr. Boutelle explained that “one fourth of all births in America today are to Hispanics, so that any company hoping to grow their business must take their needs and tastes into account.” He added that because Hispanic families are also larger than non-Hispanic families, their purchase of baby food is 15 per cent higher than for other demographics. That said, a study recently commissioned by Beech-Nut revealed that two thirds of Hispanic moms are not satisfied with the choices they presently find in baby food, and wish there were more appropriate flavors from which to choose. The new Beech-Nut/Goya brand offers them 22 specially developed Latin flavors and combinations that support a baby’s oral development through the feeding cycle, 19 of which are eligible for WIC. The full line includes everything from wheat, corn, oatmeal/bananas and rice/mango cereals, to Stage 1® beef and chicken with broth, and Stage 2® jarred baby food in the following flavors: Guava, Mango, Apple Mango, Banana Strawberry, Peach Mango, Squash, Banana Pear, Apple Guava, Banana Peach, Carrots & Peas, Carrots Corn, Pear Guava, and a Vegetable Medley with Sweet Potato, Carrots & Squash. In the Stage 2 ½® category with increased texture, the offerings are banana/apple/plum, pear/apricot and rice pudding with raisins. The new Beech-Nut/Goya line is expected to be available in stores throughout the country by the end of June.

Former British Prime Minister and Argentine Foe Margaret Thatcher Dies

2013-04-08T15:06:21+00:00

Former British Prime Minister Margaret Thatcher died from a stroke, her spokesman, Lord Bell, said Monday. She was 87. “It is with great sadness that Mark and Carol Thatcher announced that their mother Baroness Thatcher died peacefully following a stroke this morning,” Lord Bell said. Thatcher, known as the “Iron Lady” because of her tough leadership style, was the United Kingdom’s first female prime minister. The conservative former prime minister, who was in office from 1979 to 1990, introduced free-market reforms in Britain, privatizing state-owned companies and dismantling the socialist system implemented after World War II by the Labor Party. Thatcher led Britain to victory over Argentina in the 1982 Falklands War. The former prime minister, who entered politics in 1959 with her election to Parliament from Finchley, in London, had suffered from Alzheimer’s disease and had a series of strokes in recent years. Thatcher, born Margaret Hilda Roberts, had a meteoric rise in politics after being elected to Parliament, taking the leadership of the Conservative Party in 1975 from Prime Minister Edward Heath, who was in office from 1970 to 1974. She led the Tories to victory in the 1979 general elections and again in 1983 and 1987. Thatcher, who was born on Oct. 13, 1925, in the northern English city of Grantham, came from a middle class family.

Study: Corporate Diversity Programs Give Illusion of Fairness

2013-04-06T21:17:16+00:00

Diversity training programs lead people to believe that work environments are fair even when given evidence of hiring, promotion or salary inequities, according to new findings by psychologists at the University of Washington and other universities. The study also revealed that participants, all of whom were white, were less likely to take discrimination complaints seriously against companies who had diversity programs. Workplace diversity programs are usually developed by human resource departments to foster a more inclusive environment for employees, but aren’t typically tested for their effectiveness. Nonetheless, their existence has been used in courtrooms as evidence that companies treat employees fairly. Many diversity programs seem rational, she said. “By their design and goals, we’re inclined to assume they would be successful. The catch is that since very few are tested for efficacy, these rational assumptions may not actually map onto the reality.” In their study, published in the March issue of the Journal of Personality and Social Psychology, Kaiser and her coauthors point to a report that examined 1,000 federal civil rights legal decisions and found that “judges increasingly showed deference to organizations’ diversity management structures” as “evidence of an organization’s compliance with civil rights law.” She and Brenda Major, a psychology professor at the University of California, Santa Barbara, and their coauthors studied whether diversity programs can simply serve as a cosmetic short-cut that convinces others that companies value diversity and treat employees equally. The researchers used surveys to measure participants’ perceptions of companies’ fairness toward their minority employees. The researchers found that a hypothetical company that had a “diversity statement” rather than a “mission statement” led participants to believe the company had treated women and minorities fairly, even when they saw evidence that the company’s actual hiring, promotion and salary practices disadvantaged these groups. For instance, after seeing that women who were identically qualified as men were disproportionately passed over for interviews at a company, participants were less willing to support litigation against the company when they saw that it offered diversity training. In another part of the study, researchers told participants with corporate management experience to list what their companies do to increase either diversity or environmental sustainability. Participants who thought about their companies’ diversity practices took minorities’ racism allegations against the company less seriously than did managers who thought about the environment. The researchers recommend that companies look at their records to see if diversity and mentoring programs have led to changes in the hiring, promotion and retention of women and minorities.

Alsea Acquires Master Franchise for Burger King in Mexico

2013-04-03T18:31:41+00:00

Mexican restaurant operator Alsea said it acquired the master franchise for Burger King brand fast-food eateries in Mexico. “Pursuant to the Joint Venture Agreement reached between Alsea and Burger King Worldwide, Inc. (“BKW”), the BKW subsidiary in Mexico was merged into Operadora de Franquicias Alsea S.A. de C.V. (“OFA”), an Alsea subsidiary, which will become the merged company and the operator of 204 BURGER KING restaurants in Mexico,” the company said in a statement. Under the terms of the deal, Alsea acquired an additional 28.1 percent of the outstanding shares of OFA owned by BKW, bringing its stake in OFA to 80 percent, with BKW retaining the remaining 20 percent stake. On Monday, Alsea announced it acquired the remaining 18 percent of Cafe Sirena, a company created in 2002 to operate Starbucks coffee shops in Mexico, from U.S.-based Starbucks Coffee International, giving it sole ownership of the Starbucks coffee business in Mexico. Alsea operated 1,421 restaurants in Mexico, Argentina, Chile and Colombia under the Domino’s Pizza, Starbucks, Burger King, Chili’s, California Pizza Kitchen, PF Chang’s, Pei-Wei and Italianni’s brands at the end of 2012.